Credit Card Payment Processing in OSAS A/P
1. Create a method of payment (MOP) called VIS that has payment type of 1 CASH and a bank id
and cash account isolated for credit card balances.
In the above example, GL account 10030 will be a running balance of what is owed
by the credit card payments. The value will show up as a negative balance in the GL.
In addition, create a vendor called VIS001 (Visa) and on the Vendor Codes screen
assign the default GL ACCOUNT as 10030. This will ensure that whenever you select
to enter an invoice for VIS001, it will make 10030 the expense account.
2. Enter regular vendor invoice and when paying either marked as PREPAID before
posting or reflagged as PREPAY after posting, make sure that the MOP is VIS.
After posting payment for this invoice in the PAY INVOICES menu, a credit of
33.17 will post to the 10030 GL account.
3. When you are ready to pay the Credit Card Company, enter an invoice for VIS001,
make sure that on the line item the expense account is 10030 (the Credit Card GL Account).
When paying this invoice, make sure that you use the MOP for check and enter a check
number or print the check and the computer will assign the number.
When the VIS001 invoice is paid, the debit to 10030 will bring down the balance of the
outstanding credit already there. The GL will show a net affect of crediting the regular
cash account for the check given to the credit card company and debiting the expense
account for the original vendor invoice.
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